Strong Organic Growth and Margin Expansion
Brink's reported a 5% organic revenue growth for the third quarter, with a notable 19% growth in ATM Managed Services and Digital Retail Solutions (AMS/DRS). The company achieved record Q3 EBITDA margins of 19%, up 180 basis points from the prior year, driven by productivity and pricing discipline.
Significant Free Cash Flow Improvement
The company delivered $175 million in free cash flow, marking a 30% year-over-year increase. Year-to-date free cash flow conversion improved to 78%, with a trailing 12-month conversion of 50% of adjusted EBITDA.
Success in Share Repurchase Program
Brink's allocated $154 million to repurchase approximately 1.7 million shares at an average price of $89 per share, contributing to an EPS increase of $0.08 in the quarter and $0.33 year-to-date.
Geographic Expansion of AMS/DRS
AMS/DRS now accounts for 28% of total revenue, with significant growth opportunities in underpenetrated markets such as Latin America and the Middle East.